Chevron to submit PoD for E. Kalimantan deepwater gas fields by year end

US oil giant Chevron Corp. said on Friday it would submit plan of development (PoD) of its five deep water gas fields offshore East Kalimantan to the government with a view to start production in 2010.

?Chevron will submit PoD of Bangka, Gehem, Gendalo, Maha and Gendang gas fields by the end of the year,? Chevron Indo-Asia Deputy Managing Director Suwito Anggoro told reporters Friday.

He did not say which fields would be developed first. ?That would depend on the government?s approval,? he said.

Chevron has a number of significant gas portfolio from several PSCs in East Kalimantan following acquisition of oil, gas firm Unocal in 2005.

Suwito declined to reveal gas reserves of the 5 fields. A BPMIGAS official earlier said that Chevron, which had conducted internal re-evaluation of East Kalimantan gas reserves might cut earlier reserves estimate by Unocal by 40 percent.

BPMIGAS Cahirman Kardya Warnika said that Chevron would spend up to US$6 billion over the next few years to develop its East Kalimantan gas fields.

Chevron is currently smallest gas supplier for Bontang LNG plant after Total E&P Indonesie and Vico Indonesia. Earlier this year, Chevron had declared its inability to fully meet gas supply commitment to Bontang LNG plant.

Bontang LNG plant, currently the world largest, had been unable to meet its supply requirements to buyers in Japan, Taiwan and South Korea due to gas supply shortage from Vico and Chevron. (godang/alex)